Arrival Price

Arrival Price is the mid-market price of an asset at the exact moment a trader decides to initiate a trade. It serves as the primary reference point for calculating the success of an execution strategy.

By comparing the final execution price to the arrival price, traders can determine the performance of their execution algorithms. If the execution price is worse than the arrival price, the difference is attributed to market impact or unfavorable price movement during the execution window.

This metric is essential for accountability in institutional trading and for assessing the efficiency of automated execution systems in crypto and derivative markets.